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- 27 April 2009
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Because it costs too much(plus excess book work) for the main contractor to put you on wages. The workers comp alone for a decent wage is up to and over $9k on $60k wages add super and taxes and it's easier to just hire subbies.
So the majority of the time unless you have an abn then you don't get work. Oh and the going rate for a lot of tradies in this situation is $35 an hour.
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I get this point, but the goal posts for arguments keep changing. There is a difference between doing purely subcontractor work and working for yourself, and at times both of us use whichever side we see best illustrates our point.
$35 per hour, which trade are you referring to?
That 250k is for maximum work cover fines for a major safety breach, not being sued.
As an example; If I have 3 guys above 2.1 meters with no harness then that’s 5k a pop and $500 personal fine for them. And the rules and regulations are many. If someone is doing something stupid, falls and dies I am up for manslaughter and $250k. Given that workers will do something without thinking fines can add up even with good safety systems in place.
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Goalposts have moved again, in this situation you have employees. I have stated that my goalposts are around a 1 man show.
But here I go anyway.
OH&S applies tp any business. If I was a GP and instructed my practice nurse to sterilise an instrument and they failed to do so, my company still takes the fall, I get fined, sueued and quite possibly deregistered.
Oh I've never run a company Obviously someone hasn't
Umm this is where you’re talking out your A$$. The house often goes up as security for material accounts even if it’s in your wife’s name
And if you start mixing business with personal assets you lose the personal assets.
Eg: I buy material and use it on the house, or pay tradies from the company to fix up the house. I then go bankrupt over a bad debt. They will link it and deem the house up for grabs. I know this because my friend got done in this exact manner. You keep the business separate from personal assets..
Giving personal guarantees are we? tsk tsk. Perhaps this is a warning to people to put the asset in the correct name when starting a business. Not all houses need to be in personal names, and the house in the personal name can be encumbered with the asset value being in a non-personal, untouchable entity.
the PTY LTD should protect you.
What are we??? Fu*ken hippies that live out of vans. Are you the type of dolt that thinks we run off with a hammer and a ute and get work all day? FFS for someone that has such a concrete idea of how tradies go about business of making money to roll in, your actual business strategy for us is lacking. You are talking about guys on what more or less equates to wages or less because they get stiffed with insurances, gst and their own book work. There is a long list of expenses exactly the same as any other business. You are also talking about guys that rort the tax system and let me tell you they don't last long. And yes there are a lot of real scum bag trades out there. But a lot are the average business owner with average business problems.
Good luck with prices coming down. There is a whole safety industry full of bureaucratic BS leaching off us. These are the ex union guys, ex pollies and a host of others that happily make life more costly for you. It increases costs and time spent on the job and it's not going away. As a tradie you get wrapped up in that much red tape from unions or workcover that it's amazing any work gets done. The latest thing seems to be training courses you have to participate in if you want to work in certain conditions (eg: at heights, tagging elec tools, ewp and so on).
There was plenty of work before the FHOG and will be plenty after. So long as the mining boom is going there will be a shortage of tradies. Unless we get massive deflation don't be holding your breathe for prices to come down
Why I argue with someone that obviously has no idea about the construction business yet thinks he does is beyond me: You get me riled up soft D, but we always have Rudd bashing to bond over
Oh and another thing building a reasonable size houses is cheap. Building a fricken McMansion that could double as an elephant enclosure and football field ain't.
M, I have seen mechanics run multimillion dollar businesses out of 1 ute ( and they work on heavy machinery ) Plumbers, electricians, painters etc have no need for anything more than a ute, and a household shed, evidenced by the large amount who conduct good businesses with nothing more.
Please tell me truthfully that the internet connection and computer you are using to respond to me are not being used as a tax deduction. Tell me that you only use your mobile for work use, your ute for work etc. luxuries not available to others. Small business owners rort the system.
If you are confident that the work will be there, that wages will remain as they are if a government competent enough to see that the first home vendors boost is a negative for the economy removes it, why do you defend it. Or am I misinterpreting your posts, and you think that it does not have an effect on tradies incomes.